Blackstone, Fairstead sell 18-story Kips Bay rental for $52M

Property was part of 24-building Caiola portfolio, now known as Array Rentals

New York /
Feb.February 22, 2017 03:35 PM

Blackstone Group and Fairstead Capital quietly sold an 18-story Kips Bay rental building to Adam and Aaron Daniels’ A.D. Real Estate Investors for $52 million, sources told The Real Deal.

Since the firms paid $690 million for the Caiola family’s 24-building Manhattan multifamily portfolio in 2015, they have quietly looked to sell at least a few of the properties, despite frequently touting their multifamily investments as long-term plays.

Blackstone TRData LogoTINY and Fairstead made the first one-off sale of one of the buildings in November, when A.D. Real Estate bought the 10-story, 37-unit rental building at 114 East 40th Street in Murray Hill for $27.5 million, property records show.

Now, the Great Neck-based investment firm has come back for seconds. It acquired the 66-unit, 56,750-square-foot property at 312-316 East 30th Street earlier this month, sources said. Sources said A.D. Real Estate plans to renovate the building, which is entirely market-rate.

Meanwhile, Blackstone and Fairstead hired MNS to handle leasing for all remaining vacancies at the other 22 buildings, which they have rebranded Array Rentals, according to a spokesperson for the brokerage. The properties, spread throughout Chelsea, Murray Hill and the Upper East Side, are largely market-rate.

Representatives for Blackstone, Fairstead and A.D. Real Estate declined to comment. Emerald Equities NYC’s Aliza Avital-Caplan, who brokered the deal, could not be immediately reached.

Blackstone and Fairstead continued to strike big multifamily deals following the acquisition of the Caiola portfolio. Blackstone paid $620 million for the Kips Bay Court complex, in what was the priciest multifamily deal of 2016. Fairstead, meanwhile, bought Savoy Park in Harlem for $315 million  and sold the Dawnay Day portfolio across East Harlem for $357.5 million with an affiliate of E+M Associates.


Related Articles

arrow_forward_ios
President Donald Trump and 1483 Shore Parkway in Brooklyn (Getty; Google Maps)

Lawsuit targets Trump for “fraudulent” rent overcharge scheme

Lawsuit targets Trump for “fraudulent” rent overcharge scheme
Blackstone's Jonathan Gray (Getty; iStock)

Blackstone acquires $358M warehouse portfolio

Blackstone acquires $358M warehouse portfolio
Simon and David Reuben with 20 East 76th Street (Getty; Google Maps)

Reuben Brothers pick up Surrey Hotel at a discount

Reuben Brothers pick up Surrey Hotel at a discount
Multifamily sector beating the odds

Multifamily sector beating the odds

Multifamily sector beating the odds
The home improvement retailer will stay in it's Flatiron location (Google Maps)

Home Depot extends lease for Flatiron store

Home Depot extends lease for Flatiron store
Hewlett Packard Enterprise Co. CEO Antonio Neri (Unsplash; Hewlett Packard Enterprise)

Hewlett Packard Enterprise leaves Silicon Valley for Texas

Hewlett Packard Enterprise leaves Silicon Valley for Texas
Convention centers are a losing proposition for private developers, but local governments see them as a way to attract business tourism. (iStock)

Convention centers boom despite shows going virtual

Convention centers boom despite shows going virtual
Charlie Kushner and Laurent Morali with Commons at White Marsh Apartments in Maryland (Photos via Sasha Maslov and CommonsatWhiteMarsh)

Kushner looks to unload multifamily properties for $800M

Kushner looks to unload multifamily properties for $800M
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...